Top answers

How can a government manipulate floating exchange rate?

A government can manipulate floating rate by controlling the interest rate. To increase the exchange rate, ie the value of the currency, the government can increase its interest rate, which attracts foreign ...
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Answered by Matthew L. • Economics tutor
3368 Views

To what extent do the main macroeconomic objectives conflict?

The five main macroeconomic objectives are balanced trade, a low and stable inflation rate, sustainable economic growth, low unemployment and a fair distribution of income. Some of these macroeconomic object...
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Answered by Ryan H. • Economics tutor
11840 Views

How does the exchange rate mechanism affect aggregate demand in the UK?

The exchange rate is defined as the value of one currency against another. Aggregate demand (AD) comprises of consumption, government spending, investment and exports minus imports. A fall in the value of a ...
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Answered by Tom H. • Economics tutor
28062 Views

What is meant by a monopoly?

The legal definition of a monopoly is, any firm within an industry which possesses more than 25% market share. This can give an insight into how a 'monopoly' firm behaves, compared to firms in other forms of...
TD
2749 Views

Evaluate the likely microeconomic impact of an increase in the UK national minimum wage.

A minimum wage is the lowest level of hourly pay that is acceptable by law. There are a number of positive impacts that could result from an increase in the UK national minimum wage. Firstly, an increase in ...
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Answered by Deji A. • Economics tutor
16605 Views